The Trader's Great Gold Rush E-Book

James DiGeorgia

• Herausgeber: John Wiley & Sons
• Kategorie: Fachliteratur
• Serie: Wiley Trading Series
• Sprache: Englisch

Seitenzahl: 399

Veröffentlichungsjahr: 2009

Beschreibung

THE TRADER'S GREAT GOLD RUSH "James DiGeorgia is the best expert I know when it comes to investing in gold bullion. ¿This is not your father's gold market anymore, so getting the right information from the right people is key to helping you succeed as a gold investor."--Tom Mcclellan, Editor, The McClellan Market Report, ¿#1 Ranked Ten-Year Gold Timer (1999-2008)¿ "James DiGeorgia is a stalwart of precious metals. He draws on a lifetime of interest and commitment in The Trader's Great Gold Rush to inform you about 'tricks of the trade' that will come in handy as you seek to protect yourself from the looming solvency crisis of the U.S. government. This is a good book. But you have to read it now. Don't wait for the movie."--JAMES DAVIDSON, founder, Agora, Inc., and Editor, Strategic Investment Throughout history, gold has been a safe haven in times of political and economic crisis. Right now, gold's fundamentals are remarkably strong, says veteran commodities market analyst James DiGeorgia. In fact, gold is poised to boom--reaching, DiGeorgia predicts, as high as $2,500. From the fundamentals of investing in the gold market to the 17 common pitfalls to avoid, The Trader's Great Gold Rush tells you everything you need to know to take advantage of the coming surge in gold. This is the perfect time to invest in gold. And this book will show you how.

Leseprobe

Table of Contents

Title Page

Copyright Page

PART I - An Introduction to Today’s Gold Market

CHAPTER 1 - Why Gold Is Going to $2,500

WHY IS GOLD VALUABLE, ANYWAY?

GOLD’S ROLE IN THE GLOBAL ECONOMY

BANK RUNS ON THE NATIONAL LEVEL

THE BETRAYAL OF THE WEST

GOLD IS SET FREE

FOUR FORCES BEHIND GOLD PRICES

WHERE ARE THESE FORCES GOING?

WHAT THE GOLD BULL MARKET WILL LOOK LIKE

CHAPTER 2 - Bullish Fundamentals

THREE SOURCES OF SUPPLY

TWO SOURCES OF DEMAND

DECLINING SUPPLY AND SURGING DEMAND

MINING SUPPLY IS DECLINING

SECONDARY SUPPLY IS INCREASING

SUPPLY FROM OFFICIAL TRANSACTIONS IS DECLINING

FABRICATION AND JEWELRY DEMAND HAS DECLINED—NOT NECESSARILY BAD NEWS

INVESTOR DEMAND IS SURGING

CHAPTER 3 - A New Source of Gold Demand

AN IMPORTANT NEW FORCE IN THE GOLD MARKETS

HOW GOLD ETFs WORK

THE ETF IMPACT ON THE GOLD MARKET

AN UNEXPECTED EFFECT OF THE GOLD ETFs

CHAPTER 4 - Gold, Inflation, and the Federal Reserve

WHAT IS INFLATION, ANYWAY?

POLITICAL HYPOCRISY

WHY GOLD BENEFITS FROM HIGH INFLATION

A CENTURY OF CONSTANT INFLATION

A HEALTHY ECONOMY SHOULD NOT EXPERIENCE LONG-TERM INFLATION

HOW THE WEST WENT WRONG

THE FEDERAL RESERVE SYSTEM IS INHERENTLY INFLATIONARY

MONETIZING GOVERNMENT DEBT

SETTING RESERVE REQUIREMENTS

ACTING AS A LENDER OF LAST RESORT

HOW THE GOVERNMENT USES INFLATION TO STEAL FROM YOU

A FOURTH REASON WHY OUR ECONOMY IS NOW INHERENTLY INFLATIONARY

AN INFLATIONARY SYSTEM IS GREAT FOR GOLD PRICES

NOTES

CHAPTER 5 - Skyrocketing Debt, Plummeting Savings

THE DISMAL FINANCIAL SITUATION OF AMERICAN CONSUMERS

THE U.S. NATIONAL DEBT

OUR NATIONAL DEBT: A STACK OF $100 BILLS, OVER 8,244 MILES HIGH!

WHILE THE SHIP SINKS, WASHINGTON DRILLS MORE HOLES IN THE HULL

WHY OUR PERSONAL DEBTS ARE BULLISH FOR GOLD

HOW THE NATIONAL DEBT WILL MAKE GOLD PRICES SOAR

GOLD WILL LEAP UP EVEN IF NO MASS SALE OCCURS

WHY OUR NATION WILL NEVER GET OUT OF DEBT

WHY NEITHER CONSUMERS NOR OUR GOVERNMENT CAN EVER GET OUT OF DEBT

WHEN DEBT-BASED CURRENCIES COLLAPSE, GOLD SOARS

CHAPTER 6 - The Social Insurance Time Bomb

DEFINING OUR NATIONAL DEFICIT

OUR LEADERS IN WASHINGTON ARE LYING TO US

THE TRUST ACCOUNT SCAM

UNSTOPPABLE DEMOGRAPHIC TRENDS

EMPTY TRUST ACCOUNTS

FRIGHTENING NUMBERS, OBLIVIOUS POLITICIANS

A $44.2 TRILLION PRICE TAG

YOUR PERSONAL SHARE OF THE DEBT IS $908,915!

THE UNITED STATES IS BANKRUPT

RUN THE PRINTING PRESSES!

OUR GOVERNMENT FALSIFIES ITS ECONOMIC DATA

THE SOCIAL INSURANCE DISASTER MEANS EXPLOSIVE GOLD PRICES

CHAPTER 7 - Gold and the Long War Against Terror

EVEN IF WE CAPTURE OSAMA BIN LADEN, MORE TERRORIST ATTACKS ON AMERICA ARE COMING

CRIPPLING THE U.S. ECONOMY THROUGH ATTACKS IN OTHER COUNTRIES

SHORTLY AFTER 9/11 MOST EDUCATED SAUDIS SUPPORTED OSAMA BIN LADEN

NON-SAUDI OIL TARGETS ARE VULNERABLE, TOO

THE COMING TERRORIST ATTACKS ON AMERICA

BIOLOGICAL ATTACKS ON AMERICA

NUCLEAR ATTACKS AGAINST AMERICA

IF OSAMA BIN LADEN REALLY HAS THESE WEAPONS, WHY HASN’T HE USED THEM?

THE NIGHTMARE SCENARIO COULD OCCUR

PROTECT YOURSELF!

CHAPTER 8 - Gold, Deflation, and the 2008-2009 Economic Crisis

WHY THE 2008-2009 CRISIS IS BULLISH FOR GOLD

WHY DEFLATION IS A TERRIFYING PROSPECT

DESPERATELY TRYING TO REINFLATE THE ECONOMY

HOW MUCH IS $1 TRILLION, ANYWAY?

THE RESURRECTION OF KEYNESIAN ECONOMICS

THE COMING BACKLASH AGAINST THE DOLLAR

GOLD IS A SPECTACULAR OPPORTUNITY

EVEN DURING THE GREAT DEPRESSION, GOLD WENT Up!

PART II - A Technical Approach to Entering the Gold Market

CHAPTER 9 - Using Technical Analysis to Trade Gold

TWO APPROACHES TO TRADING

AN INTRODUCTION TO TECHNICAL ANALYSIS

TREND LINES

TRADING RANGES AND CONSOLIDATIONS

USING TREND LINES TO ENTER AND EXIT THE GOLD MARKET

MOVING AVERAGES

TECHNICAL ANALYSIS AND FRENZY IN THE GOLD MARKET

THE END OF A FRENZY

SUMMARY

A FREE OFFER TO READERS

CHAPTER 10 - Approaching Gold as a Technician

THE PARABOLIC RISE OF GOLD

IS GOLD TRADING IN A RANGE OR TRENDING?

THE IMPORTANCE OF TIME FRAMES

THE VERTICAL HORIZONTAL FILTER

EXAMPLES OF USING VHF TO TRADE

SUMMARY

CHAPTER 11 - Technical Analysis and Forecasting of Gold Prices Using the BFG ...

THE IMPORTANCE OF TRACKING GOLD

WHAT IS TECHNICAL ANALYSIS?

THE HISTORY OF TECHNICAL ANALYSIS

THE ORIGINS OF BFG TECHNICAL ANALYSIS

CASE STUDY 1

CASE STUDY 2

PART III - How to Invest In and Trade Gold

CHAPTER 12 - Introduction to Gold Trading Vehicles

GOLD IS AN UNUSUAL MARKET

WEALTH INSURANCE

A SPECTRUM OF GOLD TRADING VEHICLES

CHAPTER 13 - Gold Bullion

AVOID GOLD BARS

AVOID PRIVATE MINT GOLD COINS

STICK WITH THE FIVE MOST COMMONLY TRADED GOLD BULLION COINS IN THE WORLD

IMPORTANT THINGS TO KEEP IN MIND WHEN BUYING ANY GOLD BULLION COINS

WHEN THE GOLD MARKET GETS RED-HOT

CHAPTER 14 - Investing in and Collecting United States Gold Coins

WHAT TO KNOW BEFORE YOU BUY A SINGLE RARE U.S. GOLD COIN

BUILDING A GEM UNCIRCULATED U.S. GOLD TYPE SET

COIN 1: GOLD $2.50 LIBERTY (1840-1907)

COIN 2: $2.50 INDIAN (1908-1929)

COIN 3: $5 LIBERTY, MOTTO (1866-1908)

COIN 4: $5 INDIAN (1908-1929)

COIN 5: $10 LIBERTY, MOTTO (1866-1907)

COIN 6: $10 INDIAN (1907-1933) EAGLE

COIN 7: $20 LIBERTY (1849-1907) DOUBLE EAGLE

COIN 8: $20 SAINT-GAUDENS (1907-1933) DOUBLE EAGLE

PROOF COINS

CHAPTER 15 - Modern Commemorative $5 Gold Coins and Intelligent Gold Play

WHAT TO BUY, AND A FEW WORDS ABOUT GRADING

AUTHOR’S NOTE

CHAPTER 16 - Ancient Gold Coins

AN INTERVIEW WITH ANCIENT COIN EXPERT GLENN WOODS

A MAJOR DEVELOPMENT IN THE ANCIENT COIN MARKET

TWENTY ANCIENT COINS THAT ARE SO UNDERVALUED, YOU SHOULD BUY THEM IMMEDIATELY ...

CHAPTER 17 - Trading Gold Funds

GOLD MUTUAL FUNDS

THE BASICS OF GOLD MUTUAL FUNDS

BENEFITS OF GOLD MUTUAL FUNDS

MUTUAL FUND DRAWBACKS

HOW TO SELECT A MUTUAL FUND

MUTUAL FUND RESOURCES

THE TOP GOLD MUTUAL FUNDS

CLOSED-END GOLD FUNDS

GOLD EXCHANGE-TRADED FUNDS

PROBLEMS WITH THE GOLD ETFs

AN IMPORTANT WARNING ABOUT GOLD ETFs

HOW TO USE GLD

MY RECOMMENDATIONS: HOW TO TRADE GOLD FUNDS

CHAPTER 18 - Trading Gold Stocks

THE PROBLEMS WITH STOCKS

TRADING GOLD STOCKS

PRICE/SALES RATIO

PRICE/EARNINGS RATIO

PROFITABILITY

GOLD RESERVES AND THE COST OF GOLD

EARNINGS GROWTH

USING GOLD STOCKS IN YOUR TRADING

CHAPTER 19 - Speculating in Canadian Junior Resource Stocks

AN INTERVIEW WITH ERIC COFFIN OF HARD ROCK ANALYST

EVALUATING MONEY

EVALUATING MANAGEMENT

EVALUATING MARKET TIMING

JUNIOR RESOURCE MOMENTUM PLAYS

WHAT TO EXPECT FROM CANADIAN JUNIORS

THINGS TO BEWARE OF

CHAPTER 20 - Hedging and Speculating with Futures

ADVANTAGES OF FUTURES

DISADVANTAGES OF FUTURES

HEDGING

HOW FUTURES MARKETS HELP OUR ECONOMY

GOLD FUTURES CONTRACT SPECIFICATIONS

MARGIN ON FUTURES ACCOUNTS

USING FUTURES TO HEDGE YOUR GOLD POSITION

USING FUTURES TO SPECULATE ON GOLD

ROLLING UP PROFITS

CHAPTER 21 - Hedging and Speculating with Gold Options

ADVANTAGES OF OPTIONS

TYPES OF GOLD OPTIONS

SPECULATING WITH GOLD CALLS

ADDITIONAL TIPS ON BUYING CALLS

HEDGING WITH GOLD PUTS

ADVANCED OPTION STRATEGIES

CHAPTER 22 - Mistakes to Avoid When Trading and Investing in Gold

About the Author

Index

Copyright © 2009 by James DiGeorgia with Spiros Psarris. All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey.

Published simultaneously in Canada.

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Library of Congress Cataloging-in-Publication Data:

DiGeorgia, James.

The trader’s great gold rush : must-have methods for trading and investing in the gold market / James DiGeorgia. p. cm. - (Wiley trading series)

Includes bibliographical references and index.

eISBN : 978-0-470-55279-7

1. Gold-United States. 2. Investments-United States. 3. Gold industry-United States.

I. Title.

HG295.U6D54 2009

332.63’28-dc22

2009023155

PART I

An Introduction to Today’s Gold Market

CHAPTER 1

Why Gold Is Going to $2,500

Could gold really reach $2,500?

The metal has already been in a bull market since 2001. From its low of $255 in April 2001 to its shattering of the $1,000 barrier in March 2008, gold’s price almost quadrupled. Is it reasonable to think that an asset that has already gone up so far could (almost) triple again?

This is an important question. To answer it, we need to step back and look at gold’s recent history. Along the way, we’ll discover the four primary forces that control gold’s price—and how each force will affect gold during the near future.

We’ll start by asking ourselves why gold is valuable.

WHY IS GOLD VALUABLE, ANYWAY?

The value of gold is a mystery to many today. Modern financial commentators are scratching their heads over the current gold bull market. Why should anyone care about gold—the yellow metal that economist John Maynard Keynes famously referred to as the “barbarous relic”?

For the most part, today’s financial analysts are used to thinking of money as having no inherent value. They believe money is merely a convenient unit of exchange, worth nothing beyond the value a society assigns to it.

This is true for paper currency, but not for gold. Gold is inherently valuable. There are excellent reasons why ancient pharaohs hoarded it, Spanish conquistadores fought for it, and Klondike prospectors risked their lives to find it. Here are just a few.

• Gold is unique. Gold has a combination of properties found in no other element. It is uniquely malleable: A single ounce can be hammered into a translucent 100-square-foot sheet. It’s uniquely ductile: One ounce can be drawn into a wire over 50 miles long. It’s an excellent reflector of light, and one of the best conductors of electricity and heat. It’s also impervious to decay, rust, tarnish, or biological activity. Indeed, it’s oblivious to almost any known solvent, acid, or base.